AkzoNobel agrees to sell Southeast Asian decorative paints unit to Nippon Paint for $1.35 billion
AkzoNobel will divest its decorative paints operations across Southeast Asia to Nippon Paint for $1.35 billion, with cash proceeds of about $1 billion after tax.
AkzoNobel confirmed an agreement to transfer its Southeast Asian decorative paints portfolio to Nippon Paint for a total consideration of $1.35 billion. The assets include operations in Vietnam, Indonesia, Malaysia, Thailand, Singapore, Papua New Guinea and Australia, and are expected to generate about $1 billion in net cash after taxes and payments to minority stakeholders. The Indonesian transaction will be completed separately in late 2026, with the remaining countries closing around mid-2027.
This sale finalises a broader review of AkzoNobel’s Asian decorative paints segment, which previously saw the company exit India and Pakistan. CEO Greg Poux-Guillaume said the move aligns with a strategy to concentrate on markets where the firm can achieve scale and strengthen its position. The proceeds will aid the completion of AkzoNobel’s merger with US coatings maker Axalta, announced last November.
Why it matters
The deal reshapes the decorative-paint market in Asia and provides cash to fund AkzoNobel’s merger with Axalta.
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